Take-Two Settles With SEC

Take-Two Interactive, publisher of the Grand Theft Auto series among many other games, has settled its differences with the United States Securities and Exchange Commission. The SEC and Take-Two have reached a $3 million agreement over charges that Take-Two falsified financial records as part of a shady stock backdating scheme. It was alleged that "Take-Two backdated stock options for its officers, directors, and key employees that could be exercised at a strike price lower than where the stock was trading on the date the options were granted." In other words, white-collar crookedness.

Take-Two admitted no wrongdoing, and a settlement was always the company's plan: In a statement released in August 2007, Take-Two responded to the news of the SEC allegations with the plan "to resolve this investigation by means of a settlement rather than a contested litigation of charges ... the [SEC's notice of investigation] represents a significant step forward toward that resolution."